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A comment on Why Gold?. Parent comment
Government money is, also, a liability in a very real accounting sense too.
When the government creates money (by crediting the accounts of their providers, for instance) it is also registered as a liability for itself.
This same money always will be accepted back as a payment. That's the promise.
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Government money is, also, a liability in a very real accounting sense too.
When the government creates money (by crediting the accounts of their providers, for instance) it is also registered as a liability for itself.
This same money always will be accepted back as a payment. That's the promise.